Intel posts lower 1Q net income, higher revenue

NEW YORK — Intel’s earnings fell in the first three months of the year, but revenue grew because of solid demand for tablet processors and its data center services.

Intel Corp. said Tuesday that it earned $1.95 billion, or 38 cents per share, in the January-March quarter. That’s down from $2.05 billion, or 40 cents per share, a year earlier.

Revenue rose 1 percent to $12.8 billion from $12.6 billion. Analysts were expecting earnings of 37 cents per share on revenue of $12.8 billion.


Intel has been challenged by a shift in consumer spending away from PCs. Although Intel is the leader in making chips for PCs, it hasn’t done as well selling processors for smartphones and tablets.

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Although revenue for the PC business fell, Intel saw signs of improvement. Chief executive Brian Krzanic described that as ‘‘strong progress on our goal of 40 million tablets for 2014.’’

Shares rose 21 cents to $26.77 Tuesday.

Associated Press